Christian Democrats call for major tax rises
The Christian Democrat Party wants to raise SEK 15 billion from extra sales fees in order to cut tax for pensioners.
When income tax was cut under the previous government pensioners kept paying the same level, opening up inequality. Cutting sales tax was also part of its old Alliance policy. But now the Christian Democrat Party is calling for tax rises, in order to benefit pensioners.
“I think it is worth it,” says party leader Ebba Busch Thor to Swedish Radio.
Under the proposal a pensioner who currently gets SEK 18,000 per month would pay 460 less in tax.
This would cost the state SEK 14.4 billion per year, after two years. So the Christian Democrats, who are currently polling dangerously near the 4 per cent threshold for parliament, want to raise sales tax, or VAT, by one percentage point.
It would make all purchases slightly more expensive, including food for pensioners.